Scott Urges Lawmakers to Bridge Rural-Urban Divide 

Gov. Phil Scott exhorted lawmakers to focus their energies and “once in a lifetime” resources this session toward bridging the opportunity gap he fears is widening between the urban and rural parts of the state.

In his annual inaugural address on Thursday afternoon, the Republican governor said he traveled to all 14 Vermont counties in November and was again struck by the acute economic disparity between thriving and struggling communities.

“In an instant, the view goes from vibrant downtowns, healthy neighborhoods and bustling offices to tarped roofs, abandoned homes and shuttered businesses,” Scott told lawmakers. “My friends, it is up to us to close this gap.”

This is neither a new nor novel observation. It’s a theme Scott and other state leaders have repeatedly returned to as they seek to reverse the economic and demographic stagnation that rural parts of the state endure while Chittenden County steadily grows in population, prominence and political power.

“It’s not about turning Canaan into Burlington,” Scott said. “And no offense to Burlington, but I’m not sure anyone in Canaan wants that.”

But he did argue, more forcefully and more passionately than he has in the past, that if the state did more to help smaller communities upgrade infrastructure, build new housing, and attract new businesses and families, the state as a whole could thrive as it never has.

“The basics, like water, sewer and stormwater, housing, and high-speed internet – those are the sparks that ignite revitalization” he said. “But we need to follow through to give more communities what they need, so those sparks don’t burn out."

He again called for reforming the state's land-use laws to streamline the construction of needed housing, continuing investment in the electric vehicle charging network and boosting the workforce.

But he also made clear that he plans to continue to oppose legislative initiatives he views as too expensive or burdensome for working Vermonters.

In particular, he doubled down on his resistance to the mandatory paid family leave program favored by Democrats, who now enjoy a supermajority in the General Assembly. Perhaps because the larger majority this session is better positioned to override his vetoes, Scott instead tried persuasion.

He argued that the last thing workers enduring 13 percent inflation need is an increase in their payroll taxes for a program they may neither want nor need.

He also argued that the voluntary paid family leave program his administration rolled out last month should be given time to get up and running before lawmakers try to broaden it. He called this voluntary approach “good, smart and thoughtful governing," and "the type of balanced approach we need to consider across the board.”

That line got one of the most sustained periods of applause from the Republicans in the chamber.

House Minority Leader Patti McCoy (R-Poultney) said she thought Scott’s speech hit the mark and that Democrats would be unwise to race forward with a program that would unnecessarily burden struggling workers.

“We have to do what we can afford now,” McCoy said. “Let’s see how this program works.”

House Speaker Jill Krowinski (D-Burlington) said there are still a lot of unknowns about Scott’s program, but she held out hope that a compromise could be reached.

“Maybe we can convince him on some of our ideas on paid leave,” she told Seven Days, “but it’s going to take us sitting down at the table and listening to one another and asking good questions.”
Rep. Emma Mulvaney-Stanak (P/D-Burlington), chair of the House Progressive caucus, said she agreed with Scott that there are significant burdens facing working people. But she said she was disappointed to hear the governor frame the issues facing the state in terms of urban versus rural, which she found polarizing.

“That was an unnecessary divide to put in between communities because we’re all Vermonters,” Mulvaney-Stanak said.

She noted that her neighborhood in Burlington’s Old North End faces multiple social and economic challenges, including some areas that don’t even have decent cellular coverage.

She also said she found it disappointing that Scott talks about protecting workers from tax increases when what struggling workers really need is a more progressive tax system.

“We have not done enough to look at those with the most wealth in the state paying more into our economy,” she said.
Scott began his remarks by honoring former U.S. senator Patrick Leahy, who recently retired after a nearly 50-year career representing Vermont.

“He carved out a legacy that will benefit generations of Vermonters to come," Scott said.